en|en|#BTC94KShowdownSince its peak in November, Bitcoin's trading volume has drastically decreased with current volume levels falling by about 97%. Bitcoin has seen a slight increase in price, moving closer to the $96,000 mark in spite of this steep drop. This paradox draws attention to the special dynamics at work in the contemporary market.
Reduced liquidity is usually indicated by low trading volume, which implies a lack of participation from institutional and retail investors. Although there may occasionally be erratic price swings as a result, the calm market activity has made it easier for Bitcoin's price to rise. Therefore, the modest upward trend we have seen may be due to more favorable trading conditions where the market is not burdened by as many sell orders.